A renaissance in the Irish property market helped profits at housebuilder Cairn more than treble last year.

The London-listed firm expects earnings in 2017 to jump from 3.8 million euro (£3.3 million) to up to 15 million euro (£13.3 million), with revenues also climbing from 40.9 million euro (£36.4 million) to 149 million euro (£132.5 million).

Ireland’s property market endured a prolonged slump following the financial crisis, but the country’s economic recovery is resulting in rising demand.

“Market conditions remain positive with continued strong demand for new starter homes, trade-up/mover new homes and premium apartments witnessed in the Autumn 2017 selling season.

“The company believes that the supply of new residential homes in the Irish market will continue to significantly undershoot demand in 2018 and 2019,” Cairn said.

Cairn’s average selling price in the period was 314,000 euro, up from 295,000 euro in 2016.

For this year, Cairn has a forward sales pipeline of 134.3 million euro (£119.5 million) at an average selling price of 386,000 euro (£343,000) and the firm pointed to strong demographics, a strengthening mortgage market and a growing economy supporting further growth.

Boss Michael Stanley said: “Our practice of acquiring and building on larger scale developments, on average in excess of 400 units, allowed us to respond quickly to increased demand during 2017.

“Given the quality and historical cost of our land bank, our dual focus on competitively priced houses and premium apartments and our increasing operational capability, we continue to look forward with confidence.”